diff --git a/plugins/groovy/src/org/jetbrains/plugins/groovy/annotator/GrKeywordAndDeclarationHighlighter.java b/plugins/groovy/src/org/jetbrains/plugins/groovy/annotator/GrKeywordAndDeclarationHighlighter.java
index 68217b75294e..e27a9077b0d0 100644
--- a/plugins/groovy/src/org/jetbrains/plugins/groovy/annotator/GrKeywordAndDeclarationHighlighter.java
+++ b/plugins/groovy/src/org/jetbrains/plugins/groovy/annotator/GrKeywordAndDeclarationHighlighter.java
@@ -36,6 +36,7 @@ import org.jetbrains.plugins.groovy.lang.psi.GroovyFile;
 import org.jetbrains.plugins.groovy.lang.psi.GroovyPsiElement;
 import org.jetbrains.plugins.groovy.lang.psi.api.auxiliary.GrLabel;
 import org.jetbrains.plugins.groovy.lang.psi.api.auxiliary.modifiers.annotation.GrAnnotation;
+import org.jetbrains.plugins.groovy.lang.psi.api.auxiliary.modifiers.annotation.GrAnnotationNameValuePair;
 import org.jetbrains.plugins.groovy.lang.psi.api.statements.arguments.GrArgumentLabel;
 import org.jetbrains.plugins.groovy.lang.psi.api.statements.expressions.GrReferenceExpression;
 import org.jetbrains.plugins.groovy.lang.psi.api.types.GrCodeReferenceElement;
@@ -101,6 +102,7 @@ public class GrKeywordAndDeclarationHighlighter extends TextEditorHighlightingPa
         return false; //It is allowed to name packages 'as', 'in' or 'def'
       }
     }
+    else if (token == GroovyTokenTypes.kDEF && element.getParent() instanceof GrAnnotationNameValuePair) return false;
     else if (parent instanceof GrReferenceExpression && element == ((GrReferenceExpression)parent).getReferenceNameElement()) {
       return false; //don't highlight foo.def
     }
diff --git a/plugins/groovy/src/org/jetbrains/plugins/groovy/lang/parser/parsing/auxiliary/annotations/AnnotationArguments.java b/plugins/groovy/src/org/jetbrains/plugins/groovy/lang/parser/parsing/auxiliary/annotations/AnnotationArguments.java
index 4bb0a5a55b2f..c9c3773233e4 100644
--- a/plugins/groovy/src/org/jetbrains/plugins/groovy/lang/parser/parsing/auxiliary/annotations/AnnotationArguments.java
+++ b/plugins/groovy/src/org/jetbrains/plugins/groovy/lang/parser/parsing/auxiliary/annotations/AnnotationArguments.java
@@ -42,7 +42,7 @@ public class AnnotationArguments implements GroovyElementTypes {
       return;
     }
 
-    if (ParserUtils.lookAhead(builder, mIDENT, mASSIGN)) {
+    if (checkIdentAndAssign(builder)) {
       parsePairs(builder, parser);
     }
     else {
@@ -60,6 +60,11 @@ public class AnnotationArguments implements GroovyElementTypes {
     annArgs.done(ANNOTATION_ARGUMENTS);
   }
 
+  private static boolean checkIdentAndAssign(PsiBuilder builder) {
+    //def is valid name identifier
+    return ParserUtils.lookAhead(builder, mIDENT, mASSIGN) || ParserUtils.lookAhead(builder, kDEF, mASSIGN);
+  }
+
   /*
   * annotationMemberValueInitializer ::=  conditionalExpression |	annotation
   */
@@ -114,8 +119,10 @@ public class AnnotationArguments implements GroovyElementTypes {
   private static boolean parsePair(PsiBuilder builder, GroovyParser parser) {
     PsiBuilder.Marker marker = builder.mark();
 
-    if (ParserUtils.lookAhead(builder, mIDENT, mASSIGN)) {
-      ParserUtils.getToken(builder, mIDENT);
+    if (checkIdentAndAssign(builder)) {
+      if (!ParserUtils.getToken(builder, mIDENT)) {
+        ParserUtils.getToken(builder, kDEF);
+      }
       ParserUtils.getToken(builder, mASSIGN);
       ParserUtils.getToken(builder, mNLS);
     }
diff --git a/plugins/groovy/src/org/jetbrains/plugins/groovy/lang/psi/impl/auxiliary/annotation/GrAnnotationNameValuePairImpl.java b/plugins/groovy/src/org/jetbrains/plugins/groovy/lang/psi/impl/auxiliary/annotation/GrAnnotationNameValuePairImpl.java
index bf084a6baf78..aa402bacbb95 100644
--- a/plugins/groovy/src/org/jetbrains/plugins/groovy/lang/psi/impl/auxiliary/annotation/GrAnnotationNameValuePairImpl.java
+++ b/plugins/groovy/src/org/jetbrains/plugins/groovy/lang/psi/impl/auxiliary/annotation/GrAnnotationNameValuePairImpl.java
@@ -20,6 +20,7 @@ import com.intellij.codeInsight.completion.PrefixMatcher;
 import com.intellij.lang.ASTNode;
 import com.intellij.openapi.util.TextRange;
 import com.intellij.psi.*;
+import com.intellij.psi.tree.IElementType;
 import com.intellij.util.IncorrectOperationException;
 import org.jetbrains.annotations.NotNull;
 import org.jetbrains.annotations.Nullable;
@@ -63,7 +64,13 @@ public class GrAnnotationNameValuePairImpl extends GroovyPsiElementImpl implemen
 
   @Nullable
   public PsiElement getNameIdentifierGroovy() {
-    return findChildByType(GroovyTokenTypes.mIDENT);
+    PsiElement child = getFirstChild();
+    if (child == null) return null;
+
+    IElementType type = child.getNode().getElementType();
+    if (type == GroovyTokenTypes.mIDENT || type == GroovyTokenTypes.kDEF) return child;
+
+    return null;
   }
 
   public PsiIdentifier getNameIdentifier() {
diff --git a/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/parser/AnnotationsParsingTest.groovy b/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/parser/AnnotationsParsingTest.groovy
new file mode 100644
index 000000000000..28cf3d6e47db
--- /dev/null
+++ b/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/parser/AnnotationsParsingTest.groovy
@@ -0,0 +1,24 @@
+/*
+ * Copyright (c) 2000-2005 by JetBrains s.r.o. All Rights Reserved.
+ * Use is subject to license terms.
+ */
+package org.jetbrains.plugins.groovy.lang.parser
+
+/**
+ * @author peter
+ */
+public class AnnotationsParsingTest extends GroovyParsingTestCase {
+  final String basePath = super.basePath + "annotations"
+
+  public void testAnn1() { doTest() }
+  public void testAnn2() { doTest() }
+  public void testAnn3() { doTest() }
+  public void testAnn4() { doTest() }
+  public void testAnn5() { doTest() }
+  public void testAnn6() { doTest() }
+  public void testAnn7() { doTest() }
+  public void testClassLiteral() { doTest() }
+  public void testImportAnn() { doTest() }
+  public void testPackageAnn() { doTest() }
+  public void testDefAttribute() {doTest()}
+}
\ No newline at end of file
diff --git a/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/parser/AnnotationsParsingTest.java b/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/parser/AnnotationsParsingTest.java
deleted file mode 100644
index 25ab092d485a..000000000000
--- a/plugins/groovy/test/org/jetbrains/plugins/groovy/lang/parser/AnnotationsParsingTest.java
+++ /dev/null
@@ -1,26 +0,0 @@
-/*
- * Copyright (c) 2000-2005 by JetBrains s.r.o. All Rights Reserved.
- * Use is subject to license terms.
- */
-package org.jetbrains.plugins.groovy.lang.parser;
-
-/**
- * @author peter
- */
-public class AnnotationsParsingTest extends GroovyParsingTestCase {
-  @Override
-  protected String getBasePath() {
-    return super.getBasePath() + "annotations";
-  }
-
-  public void testAnn1() throws Throwable { doTest(); }
-  public void testAnn2() throws Throwable { doTest(); }
-  public void testAnn3() throws Throwable { doTest(); }
-  public void testAnn4() throws Throwable { doTest(); }
-  public void testAnn5() throws Throwable { doTest(); }
-  public void testAnn6() throws Throwable { doTest(); }
-  public void testAnn7() throws Throwable { doTest(); }
-  public void testClassLiteral() throws Throwable { doTest(); }
-  public void testImportAnn() throws Throwable { doTest(); }
-  public void testPackageAnn() throws Throwable { doTest(); }
-}
\ No newline at end of file
diff --git a/plugins/groovy/testdata/parsing/groovy/annotations/defAttribute.test b/plugins/groovy/testdata/parsing/groovy/annotations/defAttribute.test
new file mode 100644
index 000000000000..4f193cc3b76a
--- /dev/null
+++ b/plugins/groovy/testdata/parsing/groovy/annotations/defAttribute.test
@@ -0,0 +1,25 @@
+@Foo(def = 4)
+def a
+-----
+Groovy script
+  Variable definitions
+    Modifiers
+      Annotation
+        PsiElement(@)('@')
+        Reference element
+          PsiElement(identifier)('Foo')
+        Annotation arguments
+          PsiElement(()('(')
+          Annotation member value pair
+            PsiElement(def)('def')
+            PsiWhiteSpace(' ')
+            PsiElement(=)('=')
+            PsiWhiteSpace(' ')
+            Literal
+              PsiElement(Integer)('4')
+          PsiElement())(')')
+      PsiElement(new line)('\n')
+      PsiElement(def)('def')
+    PsiWhiteSpace(' ')
+    Variable
+      PsiElement(identifier)('a')
\ No newline at end of file